Paper Trails > What Maine’s New “Report to Work” Law Means for Your Business

What Maine’s New “Report to Work” Law Means for Your Business

If you run a small business in Maine, you already know how quickly things can change. One day the schedule is full, and the next, a shift gets cut because of a slow morning, a no-show customer, or an unexpected change in staffing. These decisions usually happen in the moment—and until now, they didn’t come with many strings attached.

But starting in the fall of 2025, there will be new rules in place for when employees show up and their shift is shortened or canceled.

Let's dive into Maine's new "Report to Work" law. 

 

What is Maine's new "Report to Work" law?

This new "Report to Work" law is designed to give workers some level of compensation if their time ends up being wasted. Under the law, if an employee reports to work and their shift is canceled or shortened, the employer is required to pay them whichever of the following is less:

  • Two hours of pay at the employee’s regular hourly rate, or
  • The total amount the employee would have earned for the originally scheduled shift (if less than 2 hours).

For example, if an employee was scheduled to work for four hours but is sent home after just 30 minutes, they must be paid for two hours. If the employee was only scheduled for 1 hour and sent home after 15 minutes, they must be paid for only 1 hour.

One key detail for businesses with tipped employees: when calculating this payment, you must use Maine’s full minimum wage (not the lower tipped wage). So in the example above, this employee would need to be paid at least 2 hours at the full $14.65 minimum wage for 2025, not the $7.33 tipped wage for 2025.

 

Who does this new law apply to?

This law does not apply to every Maine business. It specifically targets employers that:

  • Have at least 10 employees in the regular course of business, and
  • Are open more than 120 days per calendar year.

In other words, if you’re a small, seasonal operation with fewer than 10 employees, this law likely won’t affect you. However, if your business runs year-round and has a team of 10 or more, it’s important to prepare.

The law also applies to certain employees and excludes other specific employees from being eligible for this requirement. The following types of employees that are exempt are:

  • Workers in a seasonal industry (as defined by Maine law)
  • Public sector employees who are covered by a collective bargaining agreement

 

What are the exceptions to this law?

Like many labor laws, there are a few common-sense exceptions built in. You do not have to pay the minimum amount if the employee can’t work due to:

  • Bad weather
  • A natural disaster or civil emergency
  • The employee’s own illness or injury

The law also provides flexibility if you try to notify the employee ahead of time and they still show up. If you’ve made a documented good-faith effort to let them know the shift was canceled or reduced, and they still come in (or you couldn’t reach them), you have two options:

  • Give them something to do—as long as the task is reasonable and the employee is able to perform it, or
  • Pay them the required amount if there’s no work available.

Either way, it’s a good idea to document the efforts you made to contact the employee and the final result.

 

 

Why this matters for small businesses

When you’re running a business, especially in the hospitality or retail space, flexibility is everything. You may not know how busy you’ll be until the day unfolds. Being able to send staff home when things slow down is a routine part of how you manage your labor costs.

But this new rule changes that a bit. If your shift planning changes at the last minute, you may be on the hook for a couple of hours of pay—even if the employee only works for a very short period of time.

For some businesses, this might mean extra payroll costs. For others, it’s just another compliance item to track. But either way, failing to follow the law could cost you more. Employers who violate the law can face fines ranging from $100 to $500 per violation.

 

How to prepare before the law goes into effect

This law will take effect on September 24, 2025. That gives Maine businesses some time to put the right systems in place.

Here are some things we recommend:

Keep documentation.

Start tracking employee schedules and shift changes in a more structured way. Document who was scheduled, who worked, when they arrived, and what changes were made. If an employee offers to leave early or doesn’t finish their full shift by choice, note that too.

Make an effort to notify employees.

If a shift is being canceled, do your best to call, email, or text your employee ahead of time. Keep a record of those attempts—especially if they don’t respond or still show up.

Update your employee handbook.

Consider adding a section about your scheduling policy and the new “Report to Work” rule. This helps ensure your team understands what to expect.

Train your managers.

If someone on your team is responsible for calling people in or sending them home, make sure they understand the requirements. One simple mistake could lead to a fine or a frustrated employee.

Stay tuned for updates.

The Maine Department of Labor has the authority to issue further guidance or clarify the law’s language. We’ll be watching for that and sharing any updates as they come out.

 

Final thoughts

This new rule is one of several recent changes that place additional responsibilities on employers in Maine. And while the intent is to protect workers, it’s understandable that business owners are feeling overwhelmed.

If you have questions about the “Report to Work” law or want to make sure you’re covered before the deadline, we’re always happy to talk it through.

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